๐ฅ The Great Re-Industrialization ๐ญ
AI Summary
Milk Road Macro's May 7, 2026 edition covers NVIDIA and Corning's major partnership to build three new factories in NC and Texas, boosting optical connectivity capacity 10x for AI infrastructure. Reports of a U.S.-Iran 'one-page' peace deal are causing oil prices to drop sharply, with Brent crude falling 5.7% and WTI over 10.5%. Technical strategist Mark Newton of Fundstrat argues there is no reason to be bearish, citing strong bullish reversals and ongoing AI CapEx spending.
Key Facts
Author Takes
Oil prices
Crude oil has peaked, with $79 WTI as the line that opens the door to a swift slide toward $60.
Gold
Gold will see another leg up into Sep-Oct 2026, then seasonal and rate forces could trigger a multi-year decline.
Bitcoin
Bitcoin likely won't make new 2026 lows, with the low-$70ks dip being a tactical buy opportunity.
Equity markets
Improving breadth, the Mag 7 comeback, and AI CapEx are powering one of the strongest bullish reversals in years with no evidence to be bearish.
AI infrastructure build-out
The AI build-out is moving from the 'cloud' to the 'dirt,' with NVIDIA investing in physical optical infrastructure signaling the expansion is far from over.
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